ScoreWhy is Natco Pharma Ltd. ?
1
Flat results in Dec 24
- PBT LESS OI(Q) At Rs -12.60 cr has Fallen at -102.3% (vs previous 4Q average)
- PAT(Q) At Rs 133.00 cr has Fallen at -72.6% (vs previous 4Q average)
- NET SALES(Q) Lowest at Rs 474.80 cr
2
Stock is technically in a Bearish range
- The technical trend has deteriorated from Mildly Bearish on 03-Apr-25 and has generated -8.12% returns since then
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
3
Below par performance in long term as well as near term
- Along with generating -19.55% returns in the last 1 year, the stock has also underperformed BSE 500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Drugs)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Natco Pharma for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Natco Pharma
-19.62%
-0.49
39.74%
SENSEX
0.45%
0.03
14.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
17.42%
EBIT Growth (5y)
30.72%
EBIT to Interest (avg)
53.46
Debt to EBITDA (avg)
0.51
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0.52
Tax Ratio
17.65%
Dividend Payout Ratio
12.25%
Pledged Shares
0
Institutional Holding
23.51%
ROCE (avg)
17.77%
ROE (avg)
15.27%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
33
Price to Book Value
1.87
EV to EBIT
5.91
EV to EBITDA
5.38
EV to Capital Employed
2.17
EV to Sales
2.70
PEG Ratio
0.16
Dividend Yield
0.80%
ROCE (Latest)
41.06%
ROE (Latest)
27.20%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
PAT(HY)
At Rs 810.30 cr has Grown at 39.30%
ROCE(HY)
Highest at 32.29%
INVENTORY TURNOVER RATIO(HY)
Highest at 5.89 times
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 1,562.10 cr
-16What is not working for the Company
PBT LESS OI(Q)
At Rs -12.60 cr has Fallen at -102.3% (vs previous 4Q average
PAT(Q)
At Rs 133.00 cr has Fallen at -72.6% (vs previous 4Q average
NET SALES(Q)
Lowest at Rs 474.80 cr
PBDIT(Q)
Lowest at Rs 38.80 cr.
OPERATING PROFIT TO NET SALES (Q)
Lowest at 8.17%
NON-OPERATING INCOME(Q)
is 107.70 % of Profit Before Tax (PBT
EPS(Q)
Lowest at Rs 7.43
Loading Valuation Snapshot...
Here's what is working for Natco Pharma
Inventory Turnover Ratio- Half Yearly
Highest at 5.89 times and Grown
each half year in the last five half yearly periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Cash and Cash Equivalents - Half Yearly
Highest at Rs 1,562.10 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Natco Pharma
Net Sales - Quarterly
At Rs 474.80 cr has Fallen at -58.4% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 1,140.15 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -12.60 cr has Fallen at -102.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 541.20 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 133.00 cr has Fallen at -72.6% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 486.20 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 474.80 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 38.80 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 8.17%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs -12.60 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Non Operating Income - Quarterly
is 107.70 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Earnings per Share (EPS) - Quarterly
Lowest at Rs 7.43
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Non Operating Income - Quarterly
Highest at Rs 176.30 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
